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On December 10, 2020, Midas Java company sold $400,000 of goods to Alba Madison company on account for $630,000 Terms of the sale were 2/10,
On December 10, 2020, Midas Java company sold $400,000 of goods to Alba Madison company on account for $630,000 Terms of the sale were 2/10, net 30. Alba Madison company paid $17,000 in freight charges. On December 13, 2020, Alba Madison company returned 5% of the goods due to inferior quality. On December 18, 2020, Alba Madison company paid the account in full. Alba Madison company uses a perpetual inventory system. If Alba Madison company has not yet sold any of these goods, what is the ending balance in the inventory account after the payment is made? : (3) Answer: 389400
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